Business Rates Reform

Lord Pitkeathley of Camden Town Excerpts

Monday 23rd June 2025 Lords Chamber

Asked by

[Lord Pitkeathley of Camden Town]

To ask His Majesty’s Government what assessment they have made of the potential impact of business rates reform on business improvement districts.

[Lord Pitkeathley of Camden Town (Lab)]

My Lords, I beg leave to ask the Question standing in my name on the Order Paper and I refer the House to my registered interests, including that I run two business improvement districts.

[The Financial Secretary to the Treasury (Lord Livermore) (Lab)]

My Lords, the Government are creating a fairer business rates system that protects high streets and supports investment. We do not anticipate that these business rates reforms will have any direct impact on business improvement districts.

[Lord Pitkeathley of Camden Town (Lab)]

I thank my noble friend the Minister for that reply. Business improvement districts—BIDs—are vital to local economies and high street regeneration, and rely heavily on the business rates system. Will my noble friend commit to consulting them directly through bodies such as Association of Town & City Management before making any future reforms? As government services move more fully online, will he back online voting for bid ballots in order to keep the process accessible, efficient and fit for the digital age?

[Lord Livermore (Lab)]

I thank my noble friend for his question and pay tribute to his work and his expertise in this area. As he knows, business improvement districts play an important role in improving the local trading environment in our high streets and town centres, investing over £154 million each year in their local areas.

On the consultation on future reforms, my honourable friend the Exchequer Secretary, together with Treasury officials, has engaged extensively with stakeholders to codesign a fairer, more modern business rates system. I know that the Association of Town & City Management, which my noble friend mentioned, has been an important part of that. Later this summer, we will publish an interim report that sets out a clear direction of travel, with further policy detail to follow in the Budget.

As for online voting, in the English Devolution White Paper, the Government recognised the importance of ensuring high levels of turnout. My colleagues at MHCLG will come back with further proposals in due course.